What characterizes extreme poverty?

Study for the University of Toronto SOC100H1 Exam. Prepare with flashcards and multiple choice questions, each question has hints and explanations. Get ready for your exam!

Extreme poverty is characterized by living on less than $1.25 a day, a benchmark established by the World Bank to identify those who suffer from the most severe levels of poverty. This threshold reflects an inability to meet essential needs such as food, water, healthcare, and clothing. Individuals living below this line often face multiple disadvantages that can perpetuate their situation, including limited access to resources, education, and employment opportunities.

While the other options may describe aspects related to poverty, they do not encapsulate the officially recognized measure of extreme poverty that is used globally. For instance, living on less than $2 a day indicates a higher threshold and represents a broader category of poverty that may not reflect the dire conditions of extreme poverty. Living in unsanitary conditions without shelter or the inability to afford basic education can indeed be linked to extreme poverty, but these conditions can also be found in populations that may not meet the strict income criterion. Therefore, the critical factor distinguishing extreme poverty is the specified income level of under $1.25 a day.

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